Inventory setups are important because every store is unique. A generic inventory management system that can’t be tailored to fit your business type, needs, and unique inventory mix won’t be able to give you true insights into how your inventory is performing.
When you set up your inventory correctly, you’ll get the analytics you need. This ensures you get the right data on:
– Which merchandise categories are selling the fastest (and slowest) in your store.
– Which merchandise categories are more profitable than others.
– The total dollar value of your inventory.
– Merchandise costs, even if you purchased the the same item from different vendors.
An accurate, well-structured inventory system brings other benefits, as well. It allows you to:
– Better manage inventory, by increasing turnover and reducing markdowns.
– Improve customer service, with the ability to quickly look up stock levels and product information.
– Better track your purchases as they go from order, to shipment, to received, to transfer (from warehouse-to-store or from store-to-store).
– Reduce the time spent creating and managing vendor POs (purchase orders).
Here are eight best practices on how you can get the best possible setup for your inventory, to get the analytics and data that will benefit you most…